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<br />ITEM NO. 13.A.2. <br /> <br />Kodiak Island Borough <br /> <br />Meeting of June 16, 2005 <br /> <br />AGENDA STATEMENT <br /> <br />Contract No. 2005-16 <br /> <br />Kodiak Island Borough Facilities Fuel Oil Delivery. <br /> <br />This contract will supply and deliver #1 and #2 heating oil to KIB facilities. KIB facilities include the Baler <br />Building, Borough Admin Building, Chiniak Tsunami Shelter, KFRC laboratory and dorm, Fire Stations, and <br />other KIB rental Facilities such as one of two cottage buildings (720 Egan) and the Annex Building. <br /> <br />The benefit of the bid process is that we combine the quantity of heating fuel needed for KIB Facilities with <br />the quantities of fuel needed by the school district and the hospital for a bulk purchase. Each entity is <br />responsible for paying the fuel bill for their respective facility, but we all receive a price break for the large <br />quantity. This is important for an item that is a commodity and market value for the item can fluctuate. KIB <br />consumes approximately 110,000 gallons of fuel for its facilities per year. Schools consume 271,700 gallons <br />per year and the hospital consumes 120,300 gallons per year. <br /> <br />One written bid was received and a copy is attached for your review. The contract makes allowances for <br />price increase and decreases to reflect the change in price. <br /> <br />VENDOR <br />Petro Star Inc. <br /> <br />#1 <br />$1.8823 <br /> <br />#2 <br />$1.8823 <br /> <br />CHIN/AK <br />$1.8823 <br /> <br />FISCAL NOTES <br /> <br />Buildings <br />Annex Bldg. [610 Egan] <br />Baler Bldg. <br />Baler Equipment <br />KIB BldgfTsunami Ctr./Rentals <br />KFRC <br />KFRC Dorms <br />Womans Bay Fire Hall <br />Bayside Fire Hall <br /> <br />Accounts <br />220232 450 360 <br />530 731 450 360 <br />530 731 450 365 <br />220232 450 360 <br />555758481 120 <br />555759481 120 <br />252214450360 <br />250212450360 <br /> <br />Estimated Amount: <br /> <br />$207053.00 <br /> <br />APPROVAL FOR AGENDA: <br /> <br />Manager &/. 4a <br /> <br />Recommended motion: Move to adopt Ordinance No. FY2005-12. <br />